Zamalloa

INTRODUCTION

Ken-Ray Trucking Corp. (“Ken-Ray”), a common carrier, appeals a directed verdict in favor of another common carrier, Ligón Nationwide Inc. (“Ligón”). We have jurisdiction over this diversity action under 28 U.S.C. § 1332 .

This case arises out of a complaint for damages stemming from an accident involving a truck leased to Ken-Ray and driven by the truck’s owner, Robert Hart. Ken-Ray settled with the injured party after the trial court found that Ken-Ray was Mr. Hart’s “statutory employer” under Interstate Commerce Commission (“ICC”) regulations governing vehicle leases by common carriers.

The primary issue in this appeal is whether Ligón was also Hart’s statutory employer at the time of the accident, and thereby could be liable to Ken-Ray for contribution and indemnification. Because we find that Ligón could be statutorily liable for the accident, we reverse.

BACKGROUND

Mr. Hart was the owner-operator of a tractor-trailer. In 1988, he leased his tractor-trailer with himself as the driver, to Appellant Ken-Ray. On August 9, .1988, Hart made a delivery for Ken-Ray. After the delivery, Ken-Ray released Hart to seek a load from another carrier for his return trip.…